Tue, Jun 3, 8:51 PM (46 days ago)
**Copart, Inc. (CPRT) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $1.21 billion (up 9.3% YoY) - Service revenues: $1.03 billion (up 9.3% YoY) - Vehicle sales: $176.9 million (down 2.1% YoY) - **Profit Margins:** - Operating income: $451.5 million (up 3.3% YoY) - Net income: $406.6 million (up 6.3% YoY) - **Cash Flow:** - Operating cash flow: $1.36 billion (up 31.7% YoY) - Investing cash flow: -$559.0 million (up 39.0% YoY) - Financing cash flow: $44.2 million (up 305.7% YoY) **Key Metrics & Trends:** - **Service Revenues:** Increased due to higher revenue per car and volume growth in the U.S. and international markets. - **Vehicle Sales:** Decreased due to a mix of vehicles sold and volume changes in international markets. - **Operating Expenses:** Increased due to higher title expenses, deferred vehicle costs, and facility operations. - **Cash Flow:** Improved due to higher operating cash flow and increased proceeds from stock option exercises. **Uncertainties & Future Operations:** - **Seasonality & Weather:** Copart's business is seasonal, with winter months processing 5-20% more vehicles. Severe weather events can impact volumes and cash flow. - **Expansion:** Copart plans to acquire and develop new facilities to strengthen coverage and increase capacity. - **Regulatory & Legal:** Copart faces regulatory risks, including environmental, tax, and data protection laws. Legal proceedings and investigations could impact operations. - **Technological:** Copart's success depends on maintaining the integrity of its systems and infrastructure. Disruptions could harm the business. **Management Discussion:** - Copart's goals include generating sustainable profits and providing environmental and social benefits. - The company focuses on increasing service offerings, expanding VB3 into new markets, and integrating acquired facilities. - Copart's success depends on managing growth, maintaining relationships with buyers and sellers, and adapting to new technologies. **Financial Position:** - Copart has a strong financial position with $2.37 billion in cash, cash equivalents, and restricted cash. - The company has a revolving credit facility of $1.25 billion, with no outstanding borrowings as of Q1 2025. - Copart's effective income tax rates were 19.4% for Q1 2025 and 18.6% for the nine months ended April 30, 2025.